2. About jet airways
Founded 1 April 1992
Commenced operations 5 May 1993
Frequent-flyer program Jet Privilege
Airport lounge Jet Lounge
Subsidiaries Jet Lite
Fleet size 101 (+49 Orders)
Destinations 76
Company slogan The Joy of Flying
Parent company Tailwinds Limited
Headquarters Mumbai, India
Revenue Rs. 145,225.80 million (US$2,897.25 million)
(2010-11)
Profit Rs.858.40 million (US$-17.13 million)
Key people Naresh Goyal, Founder & Chairman , Nikos
Kardassis, CEO Ali Ghandour, Director
3. Key strategies
Focus on improving service, reliability and on time
performance
Focus to be the best in ―no frills‖ sector.
Measures to negate effect of unprecedented increase
in prices of fuel
Maintain its leadership position in the Indian aviation
industry
Improve On-time performance it was 88.4% for Jet
Airways for the financial year 2010-11
Explore the potential for sustained growth in Indian
passenger traffic because of low penetration in the
medium to long term.
4. Keep operations and growth in line with expected
Indian economy growth which is around 7% – 8%
per annum
Manage risk & short term crisis on account of
any global financial risks
Manage short term spike in crude oil prices.
Minimize passing the fuel price fluctuation to
customers.
Network expansion will be around the key focus
specially Gulf and Middle east
5. Jet Lite
Jet Lite was a wholly owned subsidiary of Jet
Airways.
It was established as Sahara Airlines on 20
September 1991 and began operations on 3
December 1993 with two Boeing 737-200 aircraft.
Initially services were primarily concentrated in the
northern sectors of India, keeping Delhi as its
base, and then operations were extended to cover
all the country.
Sahara Airlines was rebranded as Air Sahara on 2
October 2000. On 12 April 2007 Jet Airways took
over Air Sahara and on 16 April 2007 Air Sahara was
renamed as Jet Lite.
Jet Lite operated a fleet of mixed owned–leased
Boeing 737 Next Generation aircraft and Bombardier
6. Services Destinations
Jet Airways serves 52 domestic destinations and 24
international destinations, a total of 76 in 19 countries
across southern Africa, Asia, Europe and North America.
Short-haul destinations are served using Boeing 737
Next.
The Première features 40-inch extra-wide seats with a
personal Widescreen LCD attached to each seat. The
Première cabin is configured in a 2-2 abreast pattern.
Jet Airways Economy class on its Boeing 737 Next
Generation features 30-inch seat pitch with personal
Widescreen LCD behind each seat. Jet Airways was the
Worlds first airline to introduce in-flight entertainment
systems on the Boeing 737 aircraft.
The Economy class cabin is configured in a 3-3 abreast
pattern on the Boeing 737 Next Generation and 2-2
7. strength
Strong presence & good name in the Indian
Aviation market.
Taking the plane on lease rather than purchasing.
Ready made distribution network.
Innovation in services.
8. Weakness
Too many players in the ―no frill category.
Salaries was not high as compared to other
airlines so difficulty to retain employees.
Financial not sound as compared to others
airlines industries.
9. opportunities
Consolidations in the industry & low market
penetration.
Untapped air cargo market.
Scope in global services and tourism.
Increasing salaries of people.
11. Threat of New Entrants
The investment in the airlines is very huge and
acts as a major barrier to entry.
Existing loyalty to major brands
Incentives for using a particular buyer (such as
frequent shopper programs)
High fixed costs
Scarcity of resources
High costs of switching companies
Government restrictions or legislation
12. Bargaining Power of Suppliers
There are very few suppliers of a particular
product
There are no substitutes
Switching to another (competitive) product is very
costly
The product is extremely important to buyers -
cant do without it
The supplying industry has a higher profitability
than the buying industry.
13. Bargaining Power of Buyers
Small number of buyers
Purchases large volumes
Switching to another (competitive) airline is
simple
The airline is not extremely important to buyers;
they can do without the same brand for a period
of time
Customers are price sensitive
14. Availability of Substitutes
The main issue is the similarity of substitutes. All
low cost airlines have similar facilities.
If substitutes are similar, it can be viewed in the
same light as a new entrants
15. Intensive Competition
Many players of about the same size; there is no
dominant firm
Little differentiation between competitors‗
products and services
A mature industry with very little growth;
companies can only grow by stealing customers
away from company.